Annelyse Cater: Top 7 tips for negotiating with your home builder
Building a new home or undertaking a significant renovation on budget and on time should not be hard, however sometimes advocating for what you want can be an overwhelming process!
One of the biggest challenges I see for home builders is them not feeling empowered to advocate for their best interests with their chosen builder. I understand that you can feel overwhelmed by all the decisions to be made and confused by the processes and conditions that the builders have in place.
My best advice for home builders is to negotiate with your builder before signing the contract, even if it feels daunting or scary.
If you are wondering what is on the table to negotiate with your builder, here is a hit list of things to consider negotiating before signing up for a building project with them:
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Cost-saving opportunities
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Upgrades in finishes selections
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Committing to a date for building works to start
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Agreeing to a process for managing defects and quality of work
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Inclusions and exclusions in the scope of works
Here are my tips on how to negotiate a fair deal with your builder:
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Go in prepared – Research and study the information ahead of time so you can be prepared before any negotiations. Take the time to consider what outcomes are essential and what you may be willing to be flexible on. This could be an aspect of your contract, the finished product, the build timeline or price.
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Have set questions – If you are talking to multiple builders to get the best deal, try to ask the same questions to each party, this way you will quickly see who is coming to the party and who is not.
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Trust your gut – If you feel like something is not right, seek advice from an expert to understand if it is industry standard practice or not. Often builders have their own policies and procedures but it’s important that you do not take on more risk than necessary.
- Find a happy compromise – Be willing to understand your builder’s point of view and find a suitable compromise. The building process should be a partnership to achieve an outcome that both of you can be happy with.
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Get everything in writing – Ensure the outcomes you agree with your builder are clearly captured in your contract, usually in the Special Conditions or Particulars sections of the contract. Putting everything in writing reduces the chances of confusions or difference of opinions later.
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Stay confident – It is so important to stop telling yourself you are not qualified, not experienced enough or do not know what you are doing and instead focus on advocating for your best interests. Be assertive, ask questions if you have any or ask for them to clarify things if needed. Take your time to make the right decision and ask to come back to them at a later date if you want more time to decide or consider your options.
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Build a trusting relationship – A trusting relationship begins with choosing the right builder in the first palace. When choosing a builder, the one who you have the best spark with is a good indication of who will be best to work with. Try to speak with the ‘build team’ as much as possible to foster good lines of communication and to show that you are an active part of the build process. This will make it easier for them to present issues to you when they arise.
Remember, many builders expect some kind of negotiation and buyer advocacy as part of the pre-contract process. Negotiating is always about being flexible on both parts so do not just expect your builder to knock a load of money off the quote without anything in return!
Now it is your turn – what will you advocate for on your next build project?
By Annelyse Cater
Annelyse Cater, Founder of Build Together Project Management and a home renovator, simplifies the building process for first home buyers and renovators so they can avoid the stress and save time and money during their build.
Instagram: https://www.instagram.com/buildtogetherpm/
Website: www.buildtogetherpm.com.au/